Dominguez allays fears over 'Chinese debt trap'

ABS-CBN News

Philippines President Rodrigo Duterte (L) and Chinese President Xi Jinping shake hands after a signing ceremony held in Beijing, China October 20, 2016

MANILA - Finance Secretary Carlos Dominguez said the Duterte administration will not fall into a "debt trap" with China because it has "learned much from a previous administration’s scandalous mismanagement of Chinese financing."

Speaking before a business forum on Thursday, Dominguez did not mention which administration he was referring to, but alluded to the term of former President and incumbent House Speaker Gloria Macapagal-Arroyo.

"During that time, the previous leadership allowed Chinese state-owned enterprises to dictate what projects will be undertaken here. I don’t have to mention the names. I’ll just mention some initials. ZTE, for instance," Dominguez said.

Arroyo faced a graft case concerning National Broadband Network (NBN)-ZTE telecommunications deal, which was later dismissed by the Sandiganbayan in 2016.

Arroyo declined to comment when asked for a statement by ABS-CBN News.